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1、Navigating the New Hotel Landscape Key considerations for corporate buyers and travel managersREST ASSURED SOLUTIONSNAVIGATING THE NEW HOTEL LANDSCAPE3American Express Global Business Travel(GBT)is a joint venture that is not wholly owned by American Express Company or any of its subsidiaries(Americ
2、an Express).“American Express Global Business Travel,”“American Express,”and the American Express logo are trademarks of American Express and are used under limited license.This document contains unpublished,confidential,and proprietary information of American Express Global Business Travel(GBT).No
3、disclosure or use of any portion of these materials may be made without the express written consent of GBT.2021 GBT Travel Services UK Limited.Welcome to Navigating the New Hotel LandscapeAround the world,American Express Global Business Travel(GBT)clients are getting#TravelReady,reconfiguring their
4、 corporate travel programs to support their travelers as they get back on the road.But as corporate buyers and travel managers are discovering the post-pandemic hotel sourcing environment is more complex,fragmented,and challenging than ever before.Julie AvenelVice President,Global Consulting GroupDa
5、vid ReimerExecutive Vice President,Global Clients/GM AmericasWes BergstromVice President,Global Supplier Partnerships,Hotel Value&Revenue ManagementWe hope Navigating the New Hotel Landscape will help travel managers build an effective and resilient accommodations program that will support their tra
6、velers through the return to travel and position their organizations for a prosperous future.Thank you to everyone who contributed and a special thanks to clients who shared their experiences of navigating the new hotel landscape.We have developed Navigating the New Hotel Landscape to help travel bu
7、yers and managers and the wider industry find their way through an evolving landscape.Using GBTs proprietary data insights,combined with deep sector knowledge from GBTs Rest Assured Solutions hotel specialists,the report maps the new terrain.Experts from GBTs Global Business Consulting team set out
8、the negotiating strategies that will enable travel managers to reshape and optimize their hotel sourcing for todays conditions.NAVIGATING THE NEW HOTEL LANDSCAPENAVIGATING THE NEW HOTEL LANDSCAPE45IntroductionThe global business travel industry is beginning to see the green shoots of recovery.The re
9、markable swift rollout of vaccinations has allowed corporates and their travelers to plan the return to travel domestically at first,with international travel set to grow as cross-border travel restrictions are relaxed and vaccination standards become globally consistent.Corporate buyers and travel
10、managers are now working to rebuild their hotel programs for the post-pandemic environment.But,as they are discovering,the emerging hotel sourcing landscape is very different to the one they have known historically.Mapping the new hotel landscapeThe first section of Navigating the New Hotel Landscap
11、e identifies the key ways the hospitality landscape has been reshaped since 2019.The duration and depth of the travel shutdown has reshaped the industry.Hotels today are operating with vastly reduced capacity and reporting the lowest occupancy rates on record.As these hotels have scrambled to win bu
12、siness and recapture revenues,a vast range of room rates has flooded the landscape across hotel sales channels,confusing travelers and creating complexity for corporate hotel programs.The challenge for buyersFor corporate buyers and travel managers,this unusually fragmented and complex sourcing envi
13、ronment could hardly come at a worse time.As The challenge for buyers section reports,buyers already have their hands full dealing with the rapid return to travel.The restart will be accompanied by dynamic and varied changes to travel restrictions,COVID testing and entry requirements,duty of care im
14、peratives all of which need to be managed.There are no demand or supply trends to help guide buyers step through this unfamiliar terrain.Plus,buyers are also getting to grips with emerging program goals,including data security,sustainability,and diversity and inclusion.Supporting the travelerThe hot
15、el sourcing landscape has transformed and so have travelers.Meet the returning traveler asks how the lengthy travel shutdown may have impacted travelers and shifted their attitudes towards travel and their expectations for the travel and lodging experience.This section looks at five ways that travel
16、er behavior appears to have changed.Its time for a new approach Building a negotiated hotel program has rarely been so challenging.The experience of the pandemic has transformed every aspect of hotel sourcing in fundamental ways.To access the content they need and achieve their hotel program goals c
17、orporate buyers and travel managers will need to rethink every aspect of their hotel sourcing strategy.Its time for a new approach sets out key principles to help buyers manage the complexity of building a holistic program in the new hotel environment.Mapping the new hotel landscapeThe pandemic hit
18、global hospitality hard:In the US,hotels had more than one billion unsold room nights,surpassing the 786 million unsold nights during the 2009 Great Recession.1 A similar pattern was repeated all over the globe.The dramatic fall in demand impacted revenues:Hotels in Europe,for example,saw revenue pe
19、r available room(RevPAR)in 2020 fall 72.7%versus 2019.In the US,RevPAR was down 68.5%,in Asia Pacific by 55.3%.2 At the same time as income plunged,hoteliers had to absorb additional costs to make their operations COVID-safe.Adopting rigorous cleaning and sanitation protocols and introducing touchle
20、ss experiences gave guests visible reassurance but pushed up operating expenditures.Hygiene protocols led to properties having to limit or shut down guest catering,meaning hotels lost on revenues from food and beverage(F&B)sales.Compounding the situation,the collapse of meetings business deprived ho
21、tels of a usually reliable source of income.Without the demand generated by meetings and events,hotels experienced distressed inventory and missed out on the opportunity to capture transient rates.Hotels adapt to the new landscapeThe hospitality industry formed imaginative responses to the harsh eco
22、nomic realities of the travel shutdown.Hoteliers have reimagined their business models,diversifying their offering to tap new revenues.This has seen some hotels repurpose spaces to create flexible,daytime venues for in-person meetings.Hotels have also been providing alternative workspaces for home-b
23、ased employees who want a change of scenery.Even with these creative solutions,many hoteliers have had to reduce inventory within properties or shutter them altogether.Significant headcount reductions helped hotels trim budgets:In Europe,hotel labor costs almost halved in 2020.3 The layoffs saw many
24、 hotels reduce the size of their sales teams.This sourcing season,there will be fewer hotel employees dedicated to managing negotiations or managing requests for proposal(RFPs).Look out for leisure growthIn some countries and most notably the US,domestic leisure is leading the return to travel.With
25、many key business cities doubling as leisure destinations,the influx of leisure guests will impact availability and push up room rates for business travelers.Buyers cannot assume their program will benefit from low rates.Cancellation policiesEarly in the travel shutdown,hotels began to adjust their
26、cancellations policies to make them more flexible.Corporate buyers and travel managers should note that many of these adjustments have expired or will expire in later months of 2021.Navigating the New Hotel Landscape with GBTGBT provides the comprehensive expertise,services,and products that corpora
27、te buyers and travel managers need to navigate the new hotel landscape and optimize their hotel program.The concluding section of the paper sets out GBTs value proposition for around hotels,including GBTs Global Business Consulting practice and the Rest Assured Solutions suite of accommodation produ
28、cts and services.NAVIGATING THE NEW HOTEL LANDSCAPENAVIGATING THE NEW HOTEL LANDSCAPE67The challenge for buyersAt the best of times,managing business travel accommodations can be demanding.In the new hotel landscape,rebuilding the hotel program can seem like a daunting challenge.Corporate buyers and
29、 travel managers have to get their arms around so many topics,ranging from finding the best value rates through to driving traveler compliance,traveler experience,and traveler safety.All of this becomes more complex in todays fragmented and fluid rates environment.Essentially,the challenge can be br
30、oken down into four key areas,each of which could impede the rebuilding of a strong hotels program.1.Rates and negotiationSecuring the right rooms at the best rates is at the heart of the challenge for corporate buyers and travel managers.In the 2021 season,many corporates opted to roll over their r
31、ates.For 2022,hoteliers are likely to take a variety of approaches to the RFP process.Its important that travel buyers and managers review all of their options available and not be swayed by a small percentage discount to stay with the status quo.The solutions for 2022 should be customized and compa
32、ny specific.MANAGING DATA:Theres nothing new about rates being loaded in multiple sources,leading to complexity.But things are going to get more complex as demand picks up and hotel content becomes even more fragmented,with more rates available in more channels.This could be an opportunity for buyer
33、s who are willing to use lowest logical rates as their policy driver but staying on top of all the data will be a challenge.VOLATILITY COULD HINDER PRICE FORECASTING:Before the pandemic,buyers could rely on forecasting data provided by their travel management company(TMC)to support negotiations.At G
34、BT,for example,these forecasts are based on analysis of five years transaction data and factor in a range of key variables from macroeconomics and industry metrics to individual city dynamics.But with travel levels so low for so long,these forecasts are still very fluid.HOTEL HEADCOUNT REDUCTIONS:La
35、yoffs and furloughs resulting from the pandemic will mean fewer hotel staff dedicated to sale.Corporate buyers could be keen to do a deal but they may find they have fewer contacts at the hotel to negotiate with.Even if buyers can connect with the sales team,hotels may be less willing to negotiate d
36、own when rates are already at rock bottom.2.Managing travelersHistorically,corporate negotiated rates tended to be the lowest rates and travelers could book with confidence,knowing they were getting the right room at the right price.In the new hotel landscape,travelers may see more options at the po
37、int of booking.Intent on recapturing lost revenues,hotels are loading promotional rates and discounts across the board.It will soon be apparent that as well as benefiting from their companys negotiated rates,savings can be achieved from other promotions.Companies taking advantage of these additional
38、 rates will likely see lower averaged booked rates.Multiple content sources will be the norm going forward.To successfully drive savings and traveler experience,corporate buyers and travel managers will need to equip their travelers with updated tools and advice.Key considerations include:MAKING ADJ
39、USTMENTS TO ONLINE BOOKING TOOLS:With so many rate codes available each offering varying amenities and cancellation policies online booking tools(OBTs)with outdated search delivery setup may not return the lowest or best rate matches.This could lead to travelers searching on their own,wasting produc
40、tive working time and resulting in headaches for the travel managers who need everyone to exercise duty of care and remain in policy.KEEPING TRAVELERS SAFE MAY BE MORE COMPLEX:With more rates available,managing traveler safety can become more complex.Even when the immediate risks of the pandemic rec
41、ede,buyers will want to make sure their travelers are using hotels with the appropriate hygiene protocols.And,of course,travelers may continue to face non-COVID-related safety and security risks.HOTEL OFFERINGS MAY INITIALLY BE UNPREDICTABLE:The pandemic reshaped the guest experience in important wa
42、ys.F&B offerings were limited or not available.Amenities such as gyms and business centers were shuttered.Initially,as travel returns,the guest experience may remain unpredictable.With more travelers preferring to drive rather than risk public transport,hotel parking may be at a premium.As governmen
43、t restrictions relax,depending on the pandemic situation in each country,offerings such as F&B should return to normal levels of service.3.Keeping travelers informedStrong traveler communication has always been a core pillar of a well-managed travel program.As travel returns,keeping travelers inform
44、ed will be one of the most important aspects of the travel managers role.Global travel recovery is likely to be uneven:Conditions will stabilize in some countries and territories faster than others.It will be critical to provide access to up-to-date information from trusted sources making it easier
45、for travelers to manage disruptions to their itinerary and helping to restore traveler confidence.To help corporate buyers and travel managers keep travelers informed,GBT introduced Travel Vitals,a free travel information platform that is continually updated with advisories on COVID restrictions and
46、 requirements.4.New and emerging prioritiesBefore the pandemic,corporate buyers and travel managers were increasingly engaged by topics such as sustainability.As travel returns,issues such as employee well-being,sustainability,and diversity,equity,and inclusion(DE&I)are top-of-agenda corporate prior
47、ities and there is an expectation these will be reflected by the corporate travel program.WELL-BEING:Before the pandemic,employee well-being was climbing up the corporate agenda and travel buyers have long understood how business travel can impact employee well-being.The pandemic and,above all,the s
48、hift to remote working intensified the corporate focus on protecting employees mental and physical health.SUSTAINABILITY:Industry research and GBTs client engagements confirm that sustainability remains a top priority for corporate travel buyers.4 Some companies are set on achieving net zero carbon
49、emissions as soon as 2026 and are ramping up activities to meet these targets.They will be asking how the hotel program can help reduce their environmental footprint(reducing greenhouse gas emissions,reducing single-use plastics,and conserving water).DIVERSITY,EQUITY&INCLUSION:The experience of 2020
50、,and specifically the activism for racial justice in the US and around the world,made DE&I a growing priority for society,companies,and their employees.NAVIGATING THE NEW HOTEL LANDSCAPENAVIGATING THE NEW HOTEL LANDSCAPE89Meet the returning travelerNavigating the New Hotel Landscape details how hote
51、ls and the hotel sourcing environment has been transformed over the course of the travel shutdown.But travelers their concerns,expectations,and behaviors have also changed.And when the traveler changes,the program must adapt.This section looks at some of the ways that traveler expectations and behav
52、iors are likely to shift in the first months as travelers take their first tentative steps back but also further ahead as travel settles into the new reality.Research indicates many business travelers are looking forward to getting back on the road:According to polling for the Back to Blue Skies rep
53、ort,86%of business travelers surveyed are looking forward to getting back to travel when it becomes safe.5 New booking behaviorsTraveler sentiment will have shifted during the long travel shutdown and so has traveler booking behavior.While companies largely curtailed business travel during the pande
54、mic,business critical trips were permitted.Analyzing the data relating to these trips offers clues for traveler booking behavior as travel returns.Returning travelers have confidence in online booking:The first months of the pandemic saw a slight shift away from online channels,with agent bookings a
55、ccounting for 31%of all bookings in 2020,versus 27%in 2019.Those travelers still on the road may have needed additional support to complete their bookings;alternatively,some corporates chose to switch off their online channels.7As travelers begin to return,online remains the preferred way to book ac
56、commodation;the proportion of bookings made online is now slightly up compared to 2019.(75%in June 2021 versus 72%in June 2019).7Expect bookings to be made closer to the time of travel:In pre-pandemic June 2019,23%of bookings were made with within three days of arrival.By June 2021,this had risen to
57、 43%of bookings.Looking at the month-by-month picture,this situation now appears to be going into reverse;as recovery gathers momentum and confidence slowly returns,travelers are booking slightly earlier.By June 2021,38%of bookings were made within three days of arrival.That said,as long as uncertai
58、nty about quarantines and other COVID regulations persist,travelers will not chance booking far ahead of their travel dates:in June 2019,33%of travelers were booking accommodation more than 15 days ahead of arrival:two years later,just 14%are doing so.7 Percentage of bookings made within three days
59、of arrival48%49%47%44%41%38%Feb-21Jan-21Mar-21Apr-21May-21Jun-21Percentage booked within 3 daysJan-21Jun-21Jun-21 vs Jan-21Jun-21 vs Jun-19NA49%36%-13%+13%EMEA41%34%-7%+17%ROW61%52%-8%+22%Global49%38%-12%+16%Fed up being stuck at home during pandemic lockdowns,a significant proportion of travelers m
60、ay be looking to reshape their lifestyle around travel by embracing nomadism.6 This may have romantic connotations of exploring the globe but nomadism can be as mundane as remote employees looking to work somewhere that isnt their home office.As noted,smart hotels are moving to serve these nomads wi
61、th“work from hotel”spaces for hotdesking and meetings.This behavior is likely to survive as travel returns,encouraged by a longer-term shift away from office-based working.But not every employee will be rushing back to travel.Some may have lingering anxieties and concerns about safety and need extra
62、 assurances before booking and while they are on the trip.See the box on Who are your traveler types?to see some of the traveler mindsets you may encounter.Source:Navigating the New Hotel Landscape from American Express Global Business Travel(GBT),2021.GBT global transaction data,2019 and 2021.Notes
63、:NA refers to North America(e.g.,United States and Canada);EMEA refers to Europe,Middle East,and Africa;ROW stands for“rest of world”which includes all countries outside of NA and EMEA.NAVIGATING THE NEW HOTEL LANDSCAPENAVIGATING THE NEW HOTEL LANDSCAPE1011Spotlight on North AmericaHotels in North A
64、merica have been on a rollercoaster over the last eighteen months first,GBT data shows the travel shutdown reducing ADR by 29%.Then returning demand in 2021 boosts ADR by 31%.The pandemic has also set off significant shifts in the mix of top hotel destinations:2019 metropolitan hot spots like New Yo
65、rk,San Francisco and Chicago lost their places in the top 3 to move to third,forty-second and twenty-ninth place respectively by Q1 2021.At the same time,cities considered secondary business destinations including Nashville,Miami and San Antonio found themselves in the top ten.By Q2 2021,however,the
66、 metropolitan centers were showing signs of improvement.Top Hotel DestinationsCity2019 RankQ1 2021 RankQ2 2021 RankNew York131San Francisco24234Chicago3296Atlanta445Houston512Washington61012Boston73714Charlotte81615Dallas924Austin1073Los Angeles112516Toronto12181199San Jose137195Las Vegas141313San D
67、iego152618Longer average length of hotel stay:GBTs data shows that travelers are less likely to take shorter one-night trips and are more likely to travel for longer.Globally,the length of stay increased by 15%between 2019 and the same period in 2021.But look closer,and the picture changes.This year
68、 has seen a slight decline in length of stay between January and June 2021 although the average length of stay remains higher than 2019.Average number of nights per booking2.82.72.62.72.32.32.02.7NAGlobalEMEAROW2.42.42.22.5Jun-19Jan-21Jun-21Luxury on the road to recovery:With travel severely curtail
69、ed from most of 2020 and into the first months of 2021,hotels in the economy/budget and moderate categories captured more of the available business,seeing bookings rise by 12%,while luxury or premium hotels saw demand fall by the same degree.As clients restart travel,GBTs data reveals a higher propo
70、rtion of bookings in the luxury/premium category versus the start of 2021.In some cases,travelers may be taking advantage of lower average daily rates(ADRs)to upgrade their stay.For example,in 2019,a client paid an ADR of$167 to stay in a moderate class hotel.In 2021,that same client could pay a sim
71、ilar price to stay in a luxury/premium property.With hygiene remaining a key concern,top-tier hotels may benefit from traveler perceptions of superior cleanliness and rigor.While the data reveals a shift to luxury/premium properties,demand is down 10%when comparing June 2021 to June 2019.Mix of Busi
72、nessHotel CategoryJan-21Jun-21Jun-21 vs Jan-21Jun-21 vs Jun-19Luxury/Premium24%29%5%-10%Moderate33%32%-1%3%Economy/Budget43%39%-4%7%Source:Navigating the New Hotel Landscape from American Express Global Business Travel(GBT),2021.GBT global transaction data,2019 and 2021.Notes:NA refers to North Amer
73、ica(e.g.,United States and Canada);EMEA refers to Europe,Middle East,and Africa;ROW stands for“rest of world”which includes all countries outside of NA and EMEA.Source:Navigating the New Hotel Landscape from American Express Global Business Travel(GBT),2021.Global point-of-sale transaction data,2019
74、 and 2021.33%24%43%30%38%32%ModerateLuxury/PremiumEconomy/Budget32%29%39%Jun-19Jan-21Jun-21NAVIGATING THE NEW HOTEL LANDSCAPENAVIGATING THE NEW HOTEL LANDSCAPE1213Who are your traveler types?There are many different types of travelers with different needs and these needs and expectations may have sh
75、ifted during the travel lockdown.Based on GBTs experience working with clients around the world,this section identifies five traveler types or personas that corporate buyers and travel managers could encounter as travel returns.Its unlikely a companys travelers will directly correspond with the pers
76、onas identified here the traveler types are indicative and offered as a kind of thought experiment to help readers visualize how their organizations travel population could have evolved.Rafael:The Revved-Up Roadster Eager to get back on the road and excited about traveling for business again.Wants t
77、o maximize points and promotions.Previously a confident traveler who might find the new travel environment frustrating.Tip:Share traveler offers available through your TMC(like expedited hotel loyalty status)for greater traveler satisfaction.Ask your TMC whats available.Charlie:The Cautious Traveler
78、 Very hesitant to get back on the road,unsure about the new protocols and requirements.Could have more questions than usual and spend more time researching.Might not feel comfortable with hotel public spaces.Tip:Offer many different types of accommodations,including alternative lodging like short-te
79、rm rentals and long-term stays.Share our pro tip checklist on how travelers can keep safe during their next hotel stay and how the hotel experience has evolved since before the pandemic.Chloe:The Cost-Conscious Traveler Wants to shop around for low rates to save the company money.Most likely to book
80、 outside the travel program.Tip:Add rate monitoring and re-shopping technology to the travel program and communicate all of the ways your corporate program offers the lowest rates(including a hotel rate guarantee).Show your travelers that theres no reason to book anywhere else.Richard:The Responsibl
81、e Traveler Passionate about sustainability,diversity,and inclusion.Considers his impact to the environment when traveling for business.Will choose a property with the sustainability icon designation in the online booking tool.Tip:Communicate the benefits of booking with your TMC.By staying program c
82、ompliant,responsible travelers can use suppliers that have been selected to meet your organizations sustainability and DE&I standards.Isabel:The Informed Arranger Wants to make the business travel experience as seamless as possible for the people shes booking for.Will often call a travel agent with
83、questions to make sure shes informed.Cares about her organizations duty of care and traveler care overall.Tip:Sharing a resource like Travel Vitals will give information-hungry arrangers and travelers the up-to-date information they need.NAVIGATING THE NEW HOTEL LANDSCAPENAVIGATING THE NEW HOTEL LAN
84、DSCAPE1415Its time for a new approachBuilding a holistic hotel program has rarely been so challenging.As travel returns and they set out to rebuild their sourcing arrangements,corporate buyers and travel managers could face a perfect storm of complexity.At times,it may feel like events are conspirin
85、g against them:With hotels promoting multiple rate options,managing the sheer volume of data will be more complex.Rate forecasts could be less reliable than previously.Delivering the appropriate traveler experience and reassuring travelers about safety may be more challenging.Plus,many buyers will b
86、e getting to grips with new and emerging program priorities,including sustainability and DE&I.The complexity of the new hotel sourcing landscape.Key considerations for rebuilding the hotel programBased on GBTs experience of supporting clients through the pandemic and preparing them for the return to
87、 travel this section identifies the core pillars of a new and integrated approach to hotel sourcing.Many of these considerations are practical,relating to actions buyers can take to rebuild their program.But they can also serve as principles for creating a more resilient program that is ready to mee
88、t the challenges of the future.Traveler safety and reassuranceMultiple content sourcesSmaller hotel sales teamsScarce rates forecasts and benchmarksUnpredictable traveler experienceNew and emerging travel program prioritiesAdjusting to the new world of multiple rate optionsStrengthening engagement i
89、nternally,externally to drive the programInternally,corporate buyers and travelers can start the journey by talking to business leaders and travelers to understand what they need from the hotel program.Stakeholder surveys can help align the program with business priorities.By taking advantage of dig
90、ital platforms,buyers can interact more effectively with travelers.With insights from this engagement,buyers can better understand travelers comfort level with returning to travel and their expectations around safety and security.Looking externally,its also important to maintain strong engagement wi
91、th hotels.With so much content out there,it could be tempting to allow relationships with your top hotels to lapse.This is unwise.To get the rooms they need with the right rates and amenities buyers will continue to rely on key hotel partners.In this fast-changing environment,regular updates are an
92、opportunity for both sides to keep on top of emerging needs.12can help buyers to secure the right range of properties for the program.These tools are essential to sustaining value for the program when rates are so unpredictable.There are plenty of options for both benchmarking and content;TMC rates
93、can be used in secondary cities or to augment preferred hotels in primary cities.Buyers dont need to carry out the sourcing process just to get a benchmark.Instead,buyers should source with intent only working with properties that are needed in the program.Theres no way to turn back the clock:Multip
94、le rate options are now a fact of life.To secure the right rates for the program,buyers will need to be able to access,aggregate,and process huge volumes of hotel rates content.This includes optimizing all of their buying options,including corporate negotiated rates and preferred rates available thr
95、ough the TMC.In this fluid environment,there is no more fix and forget.Year-round sourcing is now a must and buyers will need to constantly manage the program.Re-shopping platforms Note that some hotel partners will have reduced the size of their sales teams,meaning they have less time and attention
96、 to expend on negotiations.Buyers can support their hotel partners by limiting the number of custom questions in the RFP tool.Many of these questions are valid but often there will be duplication to the over 700 questions already contained in the typical RFP platform.To reduce response times and spe
97、ed RFP time-to-completion,buyers should consider how they can simplify your custom questions.8 In some cases,it may be simpler to engage with hotels via the TMC.The TMC is likely to have relationships with many of your key hotel partners and may be able to access equal or better savings opportunitie
98、s via their proprietary hotel programs.NAVIGATING THE NEW HOTEL LANDSCAPENAVIGATING THE NEW HOTEL LANDSCAPE1617Embracing new program prioritiesHotel programs are expanding to include wider corporate and social issues,such as employee well-being and sustainability.Buyers and travel managers may feel
99、they already have their hands full managing topics such as negotiations and traveler safety but there is a growing expectation from business leaders that the travel program is aligned with these modern priorities.As discussed in On the road to wellbeing,GBTs white paper on managing traveler physical
100、 and mental health,travelers are holding their employers to higher standards when it comes to their protecting them.They will want to know that any hotel they stay in has been vetted for its sanitation,safety,and security standards.To this end,buyers should incorporate traveler well-being and satisf
101、action during the RFP process.As well as putting the appropriate safety controls in place via the RFP,buyers should consider how you can help your travelers feel safer as they return to overnight accommodations.Traveler communication channels can make sure travelers have answers Towards a stronger,m
102、ore holistic accommodations programRebuilding a holistic hotel program in the post-pandemic context is complex but it is by no means an insurmountable challenge.By adopting a new approach to sourcing,adapted for this new environment,corporate buyers and travel managers can find the rooms they need,a
103、t the right rates and with all the amenities and services their travelers need.At every stage,buyers should expect their TMC to support them,providing them with all the capability and expertise they need whether thats managing rates data,facilitating efficient negotiations with hotels,or helping the
104、m implement priorities like sustainability in your program.3to their questions.Social platforms can enable travelers to share their hotel experiences with colleagues.When travelers are on the road,providing messaging tools will help anxious travelers feel supported.Sustainability is another action a
105、rea.Buyers will increasingly rely on third-party certifications.The standard Global Business Travel Association(GBTA)RFP template requires hotels to provide the names of their global sustainability certifications.In the future,it is likely that companies will select which hotels to partner with base
106、d on these certifications.Certifications can help buyers reduce defined impacts associated with hotels.But to make a meaningful difference and set a benchmark for other parts of the business it makes sense to integrate sustainability into the heart of your rebuilt program.Ask how each aspect of the
107、hotel and wider travel program contribute to achieving sustainability goals.To what extent does each activity contribute to your drive to reduce negative environmental impacts?CASE STUDY:ADAPTING FOR THE NEW SOURCING LANDSCAPEDespite facing challenging business conditions,an international aerospace
108、company has rebuilt its hotel program by applying many of the principles set out in Navigating the New Hotel Landscape.The slowdown in the aerospace sector severely impacted this industrial companys business,driving a sharp reduction in demand for travel and accommodation.At the same time,the compan
109、y was undergoing a corporate reorganization:Once travel returned,travel patterns would change.Working with their TMC,the travel manager set out plans to streamline the hotel program to meet the requirements of the reorganized company.Strong engagement with internal stakeholders meant the reshaped pr
110、ogram was closely aligned with the business.Together,the travel manager and the TMC identified key hotels for the companys program.They then met with management in the hotels to develop the relationships.If needed,rates were rolled over.Where there were gaps in coverage,the company used its TMCs pre
111、ferred rates to secure accommodation.Overall,the number of hotels in the program was reduced from 150 to 134.By being ready to adapt its hotel program,the company has reduced costs while maintaining coverage in its key cities.Re-shopping tools will help ensure it continues to achieve value with the
112、best rates,the right amenities,and the appropriate traveler experience.The reorganized company now has a robust hotel progam in place that is relevant to the needs of the business.It is prepared for the return to travel and thanks to its focus on engagement and building relationships has the flexibi
113、lity to evolve its program over time.NAVIGATING THE NEW HOTEL LANDSCAPENAVIGATING THE NEW HOTEL LANDSCAPE1819Optimizing your hotel programGBT provides the comprehensive expertise,services,and products that corporate buyers and travel managers need to navigate the new hotel landscape.Consulting exper
114、tiseThe Global Business Consulting(GBC)team at GBT works with organizations to create travel programs tailored to achieve specific goals.Our extensive capabilities and results-oriented approach allow us to build and implement strategies that streamline processes,deliver savings,improve compliance,an
115、d reduce risk.GBCs tenured hotel team helps corporates address every aspect of their hotel program,working with clients to source the rooms they need,drive value,and deliver the end-to-end experiences their travelers expect.Were also helping companies put emerging priorities such as sustainability a
116、nd diversity at the heart of their programs.Rest Assured SolutionsAn enhanced suite of end-to-end accommodation products and services,Rest Assured Solutions gives corporate buyers and travel managers confidence that they are getting the most out of their hotel program while offering travelers access
117、 to the properties they want at the best rates,all in one place.HOTEL PROGRAM MANAGEMENT AND OPTIMIZATION:Our team of experts can provide a comprehensive evaluation of your program,strategic sourcing and content management,and ongoing optimization to set up buyers for success and maximize their savi
118、ngs.Recent developments The proposition now includes a new global distribution system(GDS)reaudit tool and rate cap/target compliance reporting,which will help clients use the myriad of content available today while maintaining the same or lower average book rates(ABR).HOTEL CONTENT AND DISTRIBUTION
119、:Through Rest Assured,GBT clients get access to over two million properties that we help consolidate through our platforms.We also consolidate rates at those properties across multiple sources,including any client-negotiated rates,GBTs negotiated rates(Preferred Extras),third-party content and rates
120、 from Expedia,B,and others,in addition to any public rates available.Recent developments Were growing our partnerships with non-GDS suppliers to include exclusive discount access with customizations available.In partnership with American Express Meetings&Events,GBT launched the new Workspaces offeri
121、ng for employees to book individual or small team workspaces in hotels or similar-type properties.PREFERRED EXTRAS HOTEL PROGRAM:We have a team of specialists that work with individual hotels and negotiate rates and amenities just for our clients and their employees.Our Preferred Extras rates offer
122、discounts off BAR,favorable cancellation terms,loyalty program benefits,and extras amenities.Recent developments As GBT negotiates rates for the 2022 calendar year,greater emphasis is put on COVID safety procedures,sustainability,and diversity and inclusion practices than ever before as consideratio
123、ns for inclusion in the Preferred Extras hotel program.TRAVELER EXPERIENCE AND ADOPTION:We are continuously developing programs to enhance the traveler experience by offering multiple booking/servicing channels(mobile and messaging capabilities),rate choice,availability,and confidence in our rates,o
124、ffers and promotions from our key suppliers as well as traveler safety and well-being information.One example is Fast Track to Gold,a compelling offer for travelers booking Hilton hotels through GBT.Travelers can register and receive Hilton Honors Gold status after a four-night stay(within 90 days o
125、f registration).9 Our strong supplier network makes these types of offers available,further improving the travel experience.Recent developments Weve been heavily focused on the traveler experience so travelers feel comfortable,safe,and confident getting back on the road and staying in hotels.Weve de
126、veloped our Travel Vitals resource and included COVID safety information in multiple booking tools.PAYMENT:There are many scenarios where our clients are setting up virtual payment capabilities and weve expanded our ability to support this globally.Our payment solutions offer convenience,security,an
127、d flexibility that our clients need.Many clients realize savings from having virtual payment processes set up as well.Recent developments Were integrating Virtual Payment Expert with American Express payment products and making Virtual Payment Expert available in more countries.SAVINGS AND REPORTING
128、:Our clients and travelers receive the lowest hotel rates through our rate assurance tools,re-shopping technology,and hotel rate guarantee.Our hotel reporting capabilities are impressive and align well with overall savings and data across the end-to-end travel program.Recent developments RateGain be
129、nchmarking has shown that GBT can meet or beat online hotel rates 97%of the time even when rates are fluctuating.10 This document contains unpublished,confidential,and proprietary information of American Express Global Business Travel(GBT).No disclosure or use of any portion of these materials may b
130、e made without the express written consent of GBT.2021 GBT Travel Services UK Limited.About American Express Global Business TravelAmerican Express Global Business Travel(GBT)is the worlds leading business partner for managed travel.We help companies and employees prosper by making sure travelers ar
131、e present where and when it matters.We keep global business moving with the powerful backing of travel professionals in more than 140 countries.Companies of all sizes,and in all places,rely on GBT to provide travel management services,organize meetings and events,and deliver business travel consulti
132、ng.For more ideas about how to set up your hotel program for success as travel returns,check out Ten Steps to Recharge your Hotel Program from GBT Rest Assured Solutions.To discover more about how American Express Global Business Travel can help you navigate through the new hotel landscape,check out
133、 our Rest Assured Solutions.References:1 STR:2020 Officially the Worst Year on Record for U.S.Hotels https:/ 20,2021.2 After Unanticipated 2020,Hotel Industry Knows What Its Up Against.Hotstats quoted in Hospitality Net.January 27,2021.https:/www.hospitalitynet.org/news/4102699.html 3 After Unantici
134、pated 2020,Hotel Industry Knows What Its Up Against.Hotstats quoted in Hospitality Net.January 27,2021.https:/www.hospitalitynet.org/news/4102699.html 4 ITM 2020.96%of the ITMs travel buyer members confirm that sustainability remains a top priority 5 Back to Blue Skies report,American Express and Am
135、erican Express Global Business Travel.May 2021.https:/ 54%of consumers say the freedom and flexibility of being able to live and work while traveling the globe is more appealing now than it was prior to the pandemic.American Express Global Travel Trends report.March 2021.https:/ 7 GBT internal repor
136、ting,global transaction data,2019,2020,and January June 2021.Data accessed on July 26,2021.8 Suppliers can play their part in keeping the process moving by submitting their best bids in round one of the RFP process.9 See https:/ conditions.10 Benchmarking comparisons made on rates inclusive of all t
137、axes and fees on the top 500 global properties booked by American Express Global Business Travel(GBT)clients globally/from a North America point of sale.Weekly room pricing and availability analysis retrieved in March 2021 for check-in between March 24,2021,and April 28,2021,directly by RateGain Tec
138、hnologies from Sabre and each OTAs public website.Findings are based on standard single-occupancy room for one night.Excludes prepaid and non-refundable rates.Wednesday check-in dates booked three weeks to eight weeks out from the date of the monthly audit.Includes content from both B and Expedia,available to book through GBT.